Disgruntled ex-commercial partner Aerios has opened a case against Western Province Rugby’s Board & Directors over an alleged failure of the liquidated company to present their statement of affairs post-bankruptcy.
Aerios are pursuing a damages claim of more than R270 million over alleged advertising rights violations that’s seen a lengthy legal battle challenging the union’s commercial arms liquidation in December.
The latest twist in this ongoing saga has seen Aerios CEO Costas Constantinou confirming to Eyewitness News that he’s opened a case of fraud against Western Province (WP).
“Failure to submit is a criminal offence.”
Aerios maintain that the liquidation was a premeditated fraudulent plot designed for the union not to have to honour the contracts they held.
Included in the criminal charges are Remgro Sports Investments who had a stake in the WP commercial arm until it announced its withdrawal of financial support in August.
But Remgro CEO Jannie Durand has told EWN that the allegations are unfounded and misleading.
These legal wranglings are playing out while a Section 417 inquiry is ongoing in the background of a number of high-profile members of the board past and present, having been subpoenaed.
However, WP CEO Paul Zacks has applied to the Cape High Court to set aside the subpoenas issued. The inquiry which will resume in November.